"PUT"ting to Action a Bear Strategy

As expected from my very impromptu market rap up before the market closed, the bears owned the day. (As a quick note, I am sorry for the bad grammer in that last post.) So what did we have going on and what am I doing about it?

Asia:
Nikkei => 7,945.96 , -26.20, -0.33%
Hang Seng => 13,130.91, +13.75, +0.10%
Straits Times => 1,584.86, +8.93, +0.57%

Europe:
FTSE => 3,816.93, +11.94, +0.31%
DAX => 4,043.46, +47.14 +1.18%
CAC => 2,776.99, +16.65, +0.60%

U.S.:
Dow => 7,400.80, -85.78,-1.15%
Nasdaq => 1,483.48, -7.74, -0.52%
S&P => 784.04, -10.31 -1.30%

Me:
AMD => 2.96, -0.01
F => 2.51, +0.04
FPL DI => 5.66, +1.77
NG => 8, +0.07

A profitable day for those that purchased wisely. But a day of disappointment for those that continue to expect the bulls to continue indefinitely. The market continues to poise itself for another bear move to test the most recent lows of a few weeks ago.

We have the report of the bill to steeply tax the execs that earned contracted bonuses, despite their failure to produce, was passed today. But such news didn't do enough to offset the news about additional job cuts occurring and the sale of failed IndyMac being closed with One West. Also, AIG sues Countrywide (ahem, Bank of America owns them) over the loses taken on bad loans. The fingers continue to be pointed around. So sad.

I am putting in a tight stop for my FPL DI position tomorrow to prevent any unnecessary loss of capital. I will, however, allow for all of the Covered Call positions to continue as is. I made my money on the sale of the options against the asset and will or can on the calling away of my stock or the sale of the next option.

I will also be looking for confirmation tomorrow that FPL is reversing. Today FPL put in a doji candlestick and I have been repeating that the Stochastic and MACD are nearing oversold. So I think now is a good time to plan for a put on FPL as well. Don't know the numbers now and too tired to run them. Hopefully I will have them before the market opens in the moning.

That is my opinion, you can take it or leave it.

Disclaimer: I am not a stock broker; I am not a financial advisor; I am not recommending to you what to buy or sell. I am just an opinionated investor. If you decide to follow in my footsteps you are taking risk. It is inevitable that I may be wrong. So if you are going to follow in my footsteps that is your own personal decision. I am not responsible for any loss that you may, and probably will, incur regardless of my opinion.